Thanks for reading March's Academy of Risk! Included this month are some compliance updates and changes regarding employee benefits toward the bottom. As always our goal is to provide information that will help you and your organizations stay safer, healthier and more profitable by improving compliance & overall insurance costs for your companies. If you have any questions please reach out to connect!
Employee Wellness Tip- Implementing a Employee Assistance Program (EAP) has been very beneficial for many of our clients. Luckily in West Michigan we have a great resource at Pine Rest. They can provide cost-effective way's to mitigate & provide resources for your employees personal concerns and build a more resilient workforce. Contact them to learn more.
Michigan also recently launched a Mental Health In the Workplace hub. Employers are encouraged to review these resources and build on mental health strategies that will have a positive impact on employee wellbeing, the employer’s bottom line and our communities. Click the link for more.
MARCH'S ACADEMY OF RISK ARTICLES:
- As workplace environments advance, training needs change. Learn about current trends and what leaders want to get from their training programs…
- According to a new report, over 50 percent of targeted attacks took place at businesses. Here are the findings and recommendations…
- Controlling costs in Workers’ Compensation Medicare Set-Asides is complicated. Here are some tip
- Employers should educate the HR team and front-line managers on the new guidance from the EEOC and DOL and the two new federal laws related to pregnant and lactating workers…
- Reminder: Injury reporting data for certain establishments was due March 2
- Significantly higher penalties go into effect March 26 under the instance-by-instance citation policy
- Emphasis program targets auto parts supplier industry
- More protections for immigrant workers reporting safety violations
- New resources
- Opposition to Arizona workplace safety plan withdrawn
- States urge swift action on heat standard
- Comments on Voluntary Protection Programs (VPP) solicited
- Fall Stand-Down
- Labor Secretary Walsh leaving post
- State Plans
- Cal/OSHA - Heat illness case clarifies water requirements
- MIOSHA - Instructions issued
- Recent fines and awards
- Two decisions related to Privette Doctrine yield different results - California
- Employers’ obligation to prominently display list of physicians from whom employees may seek treatment - Georgia
- New trial granted for forklift operator who lost leg - Illinois
- Two biometrics rulings could have major impact on employers - Illinois
- Court of Appeals addresses question of first impression related to accident definition - Missouri
- Self-insured municipal employer cannot be reimbursed for salary payments to disabled retiree - New York
- Appeals court rules exclusive remedy nixes $5.59 million jury award - Pennsylvania
- Claims for occupational diseases manifesting four years after the last date of workplace exposure not protected by exclusive remedy - Pennsylvania
- Supreme Court rules missed deadline not sufficient reason to dismiss appeal - South Carolina
- Power to control key in determining independent contractor status - Virginia
- NCCI filing on expiration of COVID-related rules
- Psychosocial issues related to injuries in construction often overlooked
- Mental health resources and training ‘underutilized’ in civil construction industry: report
- NCCI report addresses labor market and impact of immigration
- New resources from the Mine Safety and Health Administration (MSHA)
- NSC releases free first aid mobile app
- Positive drug tests up for commercial vehicle drivers
- New safety video shows dangers of having passengers on forklifts
- Mercer report on COVID-19 paid leave requirements
- New research on importance of EHS software, mobile applications
- Role of workplace in substance abuse recovery issues
- Unpredictable work schedules have negative affect on service sector workers and families
- Long COVID reduces workforce participation
- Roughly half of U.S. employees shift back to the workplace
- High BMI levels increase costs and levels of disability
- Third edition of Safety Professionals Handbook published
- State news
March 2023 Benefits Compliance Updates:
CMS Fact Sheet Addresses End of Public Health Emergency
IRS FAQs for Medical Expenses under HSA, FSA or HRA
- On March 17th, the IRS issued a series of FAQs addressing whether certain nutrition, wellness and general health expenses can be reimbursed as a medical expense under various healthcare account.
- Gym memberships and weight-loss program can be reimbursed only if its to treat a specific disease diagnosed by a physician or if its or the sole purpose of affecting a function of the body (e.g., PT to treat injury).
- General health exercise is not eligible to be reimbursed.
- Nutritional supplements are not eligible for reimbursement unless recommended by medical practitioner as a treatment for a specific medical condition diagnosed by a physician.
RS Increases ACA Penalties for 2024
- On March 9th, IRS announced the 2024 employer mandate penalties.
- The A Penalty (IRC Section 4980H(a)) is $2,970 (which represents a $90 increase from 2023) and the B Penalty (IRC Section 4980H(b)) is $4,460 (which represents a $140 increase from 2023).
HHS Reports to Congress on HIPAA Compliance and Breach Notifications
The report for 2021 indicates –
- OCR received 34,077 complaints in 2021—25% more than in 2020. The top five issues alleged in the complaints resolved in 2021 involved (1) impermissible uses and disclosures; (2) right of access; (3) safeguards; (4) administrative safeguards (security rule); and (5) breach notice to individuals.
- OCR notes that it received 609 large breach notifications affecting more than 37 million individuals, with hacking/IT incidents the most frequent type of breach and network servers the most frequent breach location.
- More than 63,000 small breached reported.
- The reports include important data from the HIPAA complaints investigated, highlight areas of noncompliance, and provide insights into trends such as cybersecurity readiness.
Most Employers Are Required to File Electronic Information Returns Beginning in 2024
- Employers filing 10 or more returns must file Forms 1094 and 1095 (and their other applicable returns) electronically. The 10-form threshold is determined based on the total number of forms the employer must file with the IRS, including the Forms 1094 and 1095, as well as other information returns, such as Forms W-2 and Forms 1099.
Health Plans Must Submit Gag Clause Attestations by Dec. 31, 2023
- DOL, HHS, and IRS have jointly issued FAQ guidance (Part 57) requiring plans and insurers to submit their first attestation of compliance with the CAA’s prohibition of gag clauses by Dec. 31, 2023.
- The first attestation is covering the period from December 27, 2020 through the date of attestation.
- In preparation for the first attestation deadline, plan sponsors and insurers should review the instructions and technical guidance—and confirm that no prohibited provisions remain in their agreements.
Temporary Reporting Requirements for Air Ambulance Services
- Data reporting deadline is postponed until after the final rules are published; therefore, no reporting will be required in 2023 (proposed Regulations had indicated a March 31, 2023 deadline for 2022 calendar-year reporting).
- Applies to self-funded and fully insured plans (excludes HRA, excepted benefits, and short-term or limited duration insurance).
New Bill Would Protect Sponsored Health Plans During Lockouts, Strikes
- House and Senate Democrats introduced a bill March 8th that would penalize employers for altering or terminating an employee’s coverage under a group health care plan during an employee lockout or for participating in a strike.
- Titled: The Striking and Locked Out Workers Healthcare Protection Act
Compliance Calendar for Calendar Year Plans
- File electronic Forms 1094-B, 1095-B, 1094-C, and 1095-C
- March 31, 2023: Electronic IRS returns for 2022 must be filed by this date.
- Prescription drug reporting a/k/a RxDC Report (Transparency in Coverage Rule)
- This is the second RxDC report due by June 1 that will cover data for 2022
- Self-funded plans must pay PCORI fee for the prior plan year
- Employers use IRS Form 720 to report and pay PCORI fees, which are due by July 31 of the year following the last day of the plan year.
- File Form 5500 for 2022 calendar year plans.
- Only required for welfare plans with 100 or more participants.
- The Form 5500 filing deadline is the last day of the seventh month following the close of the plan year. For example, if the plan year is February 1-January 31, then Form 5500 must be filed by August 30.
For a more in depth look at our tools and services including a free work comp indication schedule a quick online demo with me. or just email me back. I can review how we utilize technology in our risk management process to save your staff time and ensure you remain compliant with all the various government agency changes. Complimentary software include:
Note: The material in this eBulletin is provided as general information and is not a substitute for legal or other professional advice.
